Certified in Risk and Information Systems Control (CRISC) — Question 17

Which of the following is MOST important to the effectiveness of key performance indicators (KPIs)?

Answer options

• A. Management approval
• B. Automation
• C. Annual review
• D. Relevance

Correct answer: D

Explanation

Relevance is essential for KPIs as it ensures that the indicators measure what truly matters to the organization's objectives. Without relevance, even well-automated or reviewed KPIs may fail to provide useful insights. Management approval and annual review are important but secondary to ensuring the KPIs are aligned with relevant goals.